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Financial accounting in context

This module will help you to understand different types of companies from their formation, company financial accounting, the regulatory framework in which they operate, and their role in the context of market economies, law and society. You’ll also gain an understanding of corporate governance, corporate responsibility, and sustainability reporting. You’ll learn how to interact with accountants and auditors to understand their duties, and other external stakeholders to understand their information needs. By the end of this module, you should be able to prepare basic company financial accounts (including cash flow statements) and interpret the financial statements of a single entity company from the perspective of external stakeholders.

Modules count towards OU qualifications

OU qualifications are modular in structure; the credits from this undergraduate module could count towards a certificate of higher education, diploma of higher education, foundation degree or honours degree.

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Module

Module code

B293

Credits

Credits

  • Credits measure the student workload required for the successful completion of a module or qualification.
  • One credit represents about 10 hours of study over the duration of the course.
  • You are awarded credits after you have successfully completed a module.
  • For example, if you study a 60-credit module and successfully pass it, you will be awarded 60 credits.
30

Study level

Across the UK, there are two parallel frameworks for higher education qualifications, the Framework for Higher Education Qualifications in England, Northern Ireland and Wales (FHEQ) and the Scottish Credit and Qualifications Framework (SCQF). These define a hierarchy of levels and describe the achievement expected at each level. The information provided shows how OU module levels correspond to these frameworks.
Level of Study
OU SCQF FHEQ
2 8 5

Study method

Distance Learning

Module cost

See Module registration

Entry requirements

See Entry requirements

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Module details Entry requirements Module registration Study materials

What you will study

You will study two aspects of company financial accounting and reporting.

Accounting technical: understanding, preparing and interpreting company financial statements and reports. You'll learn how to prepare income statements, balance sheets, statements of changes in equity, and cash flow statements for single-entity companies. You'll also learn how to interpret financial statements from the perspective of external stakeholders.

Contextual: the economic, legal and social context of companies and company financial accounting. You'll learn about the characteristics of market economies and companies, regulation, financial accounting standards, audit and corporate governance, and why business ethics, corporate responsibility, and sustainability reporting are essential for mitigating the deficiencies of corporate governance and financial reporting. You'll also learn about contract law and employment law and their influence on financial accounting.

You will learn

In addition, you will learn about the different legal forms of business entity and differences in regulatory requirements that company law places on private limited companies, public limited companies, and quoted or listed companies.

Vocational relevance

This module supports you in developing cognitive, practical and professional skills, including:

  • reflective learning
  • selecting and analysing information relevant to a particular problem or issue related to financial accounting
  • applying theories and concepts to practical situations
  • framing and addressing questions in relation to financial accounting
  • developing an awareness of ethical dilemmas in accounting and business situations
  • using academic, business and management language appropriately and effectively
  • interpreting, using and presenting numerical information effectively and appropriately
  • searching for and using relevant digital and non-digital information from sources other than the module materials
  • communicating in a professional manner in written work, online and otherwise.

Teaching and assessment

Support from your tutor

You’ll have a tutor who will help you with the study material and mark and comment on your written work, and whom you can ask for advice and guidance. There will also be eight online tutorials, each related to assessment and dedicated to specific questions in the tutor-marked assignments or exam, which you are strongly encouraged to attend.

Contact us if you want to know more about study with The Open University before you register.

Assessment

The assessment details for this module can be found in the facts box.

Future availability

Financial accounting in context starts once a year – in October. This page describes the module that will start in October 2024. We expect it to start for the last time in October 2026.

Regulations

As a student of The Open University, you should be aware of the content of the academic regulations which are available on our Student Policies and Regulations website.

Course work includes:

2 Tutor-marked assignments (TMAs)
Examination


Entry requirements

This module assumes that you will have completed Fundamentals of accounting (B124) or equivalent. Therefore, you should already:

  • know and understand the principles of double-entry bookkeeping and how they underpin the balance sheet and the income statement
  • be able to prepare an income statement and balance sheet from trial balance and additional summary information for businesses organised as sole traders.

The end-of-period adjustments that you need to be able to make include:

  • closing inventory
  • depreciation of non-current assets,
  • accrued and prepaid expenses and accrued and deferred revenues,
  • writing off irrecoverable receivables,
  • increasing or decreasing the allowance for receivables.
  • interest expense and interest payable

At the start of the module you'll have the chance to review the prerequisite core knowledge and skills. This way, even if you completed an accounting module a while ago, you can refresh your understanding and skills in order to feel confident that you're ready to study this module. In addition to the knowledge and skills above, you'll be required to use a calculator and Excel spreadsheets.

If you have any doubt about the suitability of the module, please speak to an adviser.

Register

Start End England fee Register
05 Oct 2024 Mar 2025 £1818.00

Registration closes 05/09/24 (places subject to availability)

Register
This module is expected to start for the last time in October 2027.

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In the meantime, explore our overview of Fees and funding.

Can you study an Access module for free?

Depending on eligibility and availability of places, you could apply to study your Access module for free.

To qualify, you must:

  1. be resident in England
  2. have a household income of less than £25,000 (or be in receipt of a qualifying benefit)
  3. have not completed one year or more on any full-time undergraduate programme at FHEQ level 4 or above or successfully completed 30 credits or more of OU study within the last 10 years

How to apply to study an Access module for free

Once you've started the registration process, either online or over the phone, we'll contact you about your payment options. This will include instructions on how you can apply to study for free if you are eligible and funded places are still available.

If you're unsure if you meet the criteria to study for free, you can check with one of our friendly advisers on +44 (0)300 303 0069, or you can request a call back.

Not eligible to study for free?

Don't worry! We offer a choice of flexible ways to help spread the cost of your Access module. The most popular options include:

  • monthly payments through OUSBA
  • part-time tuition fee loan (you'll need to be registered on a qualification for this option)

To explore all the options available to you, visit Fees and Funding.

What's included

You’ll be provided with a printed Exam Preparation Workbook and have access to a module website which includes:

  • a week-by-week study planner
  • course-specific module materials
  • audio and video content
  • assignment details and submission section
  • online tutorial and forum access.

You will need

A non-programmable calculator.

Computing requirements

You’ll need broadband internet access and a desktop or laptop computer with an up-to-date version of Windows (10 or 11) or macOS Ventura or higher.

Any additional software will be provided or is generally freely available.

To join in spoken conversations in tutorials, we recommend a wired headset (headphones/earphones with a built-in microphone).

Our module websites comply with web standards, and any modern browser is suitable for most activities.

Our OU Study mobile app will operate on all current, supported versions of Android and iOS. It’s not available on Kindle.

It’s also possible to access some module materials on a mobile phone, tablet device or Chromebook. However, as you may be asked to install additional software or use certain applications, you’ll also require a desktop or laptop, as described above.

If you have a disability

The OU strives to make all aspects of study accessible to everyone and this Accessibility Statement outlines what studying B293 involves. You should use this information to inform your study preparations and any discussions with us about how we can meet your needs.

To find out more about what kind of support and adjustments might be available, contact us or visit our disability support pages.